Haggling with dealers - hints and tips required!

cm1179 · 29 Dec 2011 at 21:59

Uriel said:
Edit: I decided I'd better sharpen up after buying my old Skoda Fabia in 2003 (my first buy from a dealer) and paying the price on the screen. Afterwards I realised that I'd been well and truly done and decided it wasn't going to happen again.

not all dealers are out to get you though, there is such a thing as a fair price and it's not always the case that a car needs to be knocked down dramatically. remember, a dealer worth their salt will obviously be in it for profit but if one does their homework, one will know if one is paying over the odds and walk away. if a car is priced fairly, as good as it would be to get a bit more knocked off, it's not a deal breaker if they wont imo. a free service and mot is always a nice extra though.

also, most cars are sold with a 3 month warranty with option to extend. i don't have a great deal of faith in aftermarket warranties and would feel a lot more confident going back to a dealer who i hadn't knocked down massively on price and taken out no extended warranty should there be a problem 6 months down the line.

Uriel · 29 Dec 2011 at 22:04

cm1179 said:
not all dealers are out to get you though, there is such a thing as a fair price and it's not always the case that a car needs to be knocked down dramatically.

It wasn't so much paying the screen price as that it was just plain overpriced (but I liked the car). Sometimes you get a really good deal and the best thing to do is just jump at it (otherwise someone else might get in first). With hindsight another similar car would have come up for a better price.

Squink · 29 Dec 2011 at 22:10

Thanks for the responses - I have been working under the impression that it's a buyer's market as it is for many things these days. I'd imagined a semi-impoverished dealer sat glumly at his desk waiting for a serious punter to arrive on his forecourt so that business could be done. Whilst I know this is a slight exaggeration, it looks like the general opinion is that things aren't quite so much in the buyer's favour.

I think what I'll look to do is get out armed with some price guides and if the car looks to be problem free and near enough to the guide price, I'll take it as fair and not try to jeopardise a deal by pushing for an unrealistic discount.

cm1179 · 29 Dec 2011 at 22:15

mulpsmebeauty said:
Thanks for the responses - I have been working under the impression that it's a buyer's market as it is for many things these days. I'd imagined a semi-impoverished dealer sat glumly at his desk waiting for a serious punter to arrive on his forecourt so that business could be done. Whilst I know this is a slight exaggeration, it looks like the general opinion is that things aren't quite so much in the buyer's favour.

I think what I'll look to do is get out armed with some price guides and if the car looks to be problem free and near enough to the guide price, I'll take it as fair and not try to jeopardise a deal by pushing for an unrealistic discount.

the most important thing to arm yourself with, is a budget and spec. research and see what you are going to need to pay to get the spec you want. don't forget to test drive the car of course.

Sone · 29 Dec 2011 at 22:20

only other thing i would add is don't believe a word a dealer says and definitely do not hand over any money till they have done anything they say they will.

Once they have your money they have all the power

cm1179 · 29 Dec 2011 at 22:21

Sone said:
only other thing i would add is don't believe a word a dealer says and definitely do not hand over any money till they have done anything they say they will.

Once they have your money they have all the power

well, only a fool would hand over more than a deposit ....

Squink · 29 Dec 2011 at 22:28

cm1179 said:
well, only a fool would hand over more than a deposit ....

Whilst I can afford to pay cash for the car, it will better suit my purposes to stick the whole amount on a credit card with extended 0% interest on purchases. Is it the usual thing for dealers to whack on a big surcharge for credit card payments or are they generally happy to take payment however it comes?

cm1179 · 29 Dec 2011 at 22:38

i'm not sure about credit card charges, it may depend on the dealer.

once you've found the car you like, for the price you like create a list with the salesman of what needs to be done before you are willing to let the sale go through eg. repair scratch to rear bumper, carry out scheduled service, mot etc, pay no more than the deposit on the premise of returning to pick up the car on agreed date with work carried out and car ready for you to drive away. you can then pay the remainder when you go and pick the car up and are happy that the agreed work has been carried out once you have checked the car over for the final time. don't forget insurance cover.

if you find a car you like better in the mean time or your boiler explodes at home, you will have only lost a deposit, probably a few hundred £

piggeh · 30 Dec 2011 at 12:05

Viewing a car tomorrow that is priced at £6k. They have similar cars (same make/model/trim) for around £5500 but I like the colour of the £6k one. I also want to part exchange my Skoda. I'm thinking £5k + the skoda might be doable (although prepared to go to around £5200), but I know they will try and get me to look at the ones nearer £5500. I've had my Skoda valued by another dealer with a part exchange value of £400 (I would imagine it's worth about £500 part ex).

What's the best way of approaching it? I'm pretty sure the car will be fine, it's a 50 mile trip so want to drive away the same day. Being last day of the month/year I assume they might have some targets or might want to clear some stock for January car buying frenzy?

I'd be interested to know what sort of price the dealers pick the cars up for. If they pick up a £6k labeled car for £4.5k (or less) I would assume £5k + part ex isn't a bay day's business. If they pick it up for £5k I'd imagine they'd tell me to get stuffed..

Uriel · 30 Dec 2011 at 13:09

Whatever you do, don't give them the impression you have decided to buy the car before negotiating. If you drive away on the day that means you can't ask for servicing etc with them.

MeEsH BaKkA · 30 Dec 2011 at 13:38

piggeh said:
I'd be interested to know what sort of price the dealers pick the cars up for. If they pick up a £6k labeled car for £4.5k (or less) I would assume £5k + part ex isn't a bay day's business. If they pick it up for £5k I'd imagine they'd tell me to get stuffed..

Obviously how longs a piece of string, but the average I have seen is 1.5k profit per motor. The most I have seen on one motor is about £8k on a Continental GTC.

Scythe · 30 Dec 2011 at 14:15

SB118 said:
Apart from where the advertise a high price KNOWING they will get knocked down a few quid and the punter thinks they've got a deal, and the dealer has got the price he wanted in the first place. Most of the dealers i know work that way.

Exactly. My Mrs rang up the dealership after seeing a car on the internet and put the deposit down over the phone. Couldn't believe what she had done, think she's learnt her lesson now after getting badly stung!

piggeh · 30 Dec 2011 at 14:59

MeEsH BaKkA said:
Obviously how longs a piece of string, but the average I have seen is 1.5k profit per motor. The most I have seen on one motor is about £8k on a Continental GTC.

Good to know roughly, cheers.

Fr0dders · 30 Dec 2011 at 17:36

MeEsH BaKkA said:
No dealer is going to negotiate a price over the phone.

What you must remember is, YOU phoned them. As soon as their phone rings they know that there is a reason for you to be interested in that motor, if it was advertised too high you would never have rung

that and every non serious chancer and his dog will ring and ask "whats the cheapest price you will sell it for"

You yourself if you sell a car you get loads of these calls, usually from the same type of people. All of which will go elsewhere if you tell them straight you won't be ripped off.

Dealers will do the same with any type of "whats your best price" phone calls.